Please refer to important disclosures at the end of this report Sebi Registration No: INB 010996539 1 Market Outlook India Research January 2, 2012 Dealer’s DiaryIndian markets are expected to open range-bound following mixed cues from the European and the US markets on Friday. Most major Asian markets are closed for trading today. Indian markets ended lower on Friday led by fall in oil & gas, metals, auto and banking stocks as traders were hesitant to build positions as they overlooked positive cues from the overnight gains on Wall Street. Meanwhile, China reported a slower manufacturing growth. HSBC's closelywatched survey of Chinese manufacturing firms revealed that its PMI for December came in at 48.7 compared to the earlier 'flash' reading of 49.0. However, the reading was slightly better than the survey's 47.7 reading for November. Is the US, the trading throughout Friday was choppy and well below average volume, which was the case throughout the holiday-shortened week. The final trading day of the year was largely uneventful globally as there was no major news and a holiday atmosphere pervaded the market. Meanwhile, Indian markets would watch out for the external trade data which is scheduled to release today. Markets TodayThe trend deciding level for the day is 15,519/4,641 levels. If NIFTY trades above this level during the first half-an-hour of trade then we may witness a further rally up to 15,630 - 15,806/4,674 - 4,723 levels. However, if NIFTY trades below 15,519/4,641 levels for the first half-an-hour of trade then it maycorrect up to 15,343 - 15,232/4,592 - 4,560 levels. Indices S2 S1 Pivot R1 R2 SENSEX 15,232 15,343 15,519 15,630 15,806 NIFTY 4,560 4,592 4,641 4,674 4,723 News Analysis Auto sales update - December 2011 Coal India to shift to new pricing mechanism from January 2012 Refer detailed news analysis on the following pageNet Inflows (December 29, 2011) ` cr Purchases Sales Net MTD YTD FII 1,498 2,115 (617) (42) (4,066) MFs 471 287 184 580 6,525 FII Derivatives (December 30, 2011) ` cr Purch Sales Net Open Interest Index Futures 895 1,004 (109) 9,095 Stock Futures 462 603 (142) 22,149 Gainers / Losers Gainers Losers Company Price ( ` ) chg (%) Company Price ( ` ) chg (%) Hindustan Copper 186 14.6 IFCI 22 (8.2) MMTC 538 14.5 Adani Enter 294 (6.5) Power Finance 138 4.2 Gujarat State Pet 78 (4.5) Glenmark Pharma 291 4.1 United Spirits 491 (4.2) GMR Infra 21 4.0 Punj Lloyd 40 (3.9) Domestic Indices Chg (%) (Pts) (Close) BSE Sensex (0.6) (89.0) 15,455 Nifty(0.5) (22.0) 4,624 MID CAP 0.3 16.1 5,135 SMALL CAP 0.1 5.2 5,550 BSE HC 0.5 26.2 5,871 BSE PSU 1.0 62.0 6,365 BANKEX (0.7) (67.5) 9,153 AUTO (0.3) (26.7) 8,144 METAL (0.7) (63.4) 9,293 OIL & GAS (1.5) (112.7) 7,529 BSE IT 0.4 21.3 5,752 Global Indices Chg (%) (Pts) (Close) Dow Jones (0.6) (69.5) 12,218 NASDAQ (0.3) (8.6) 2,605 FTSE 0.1 5.5 5,572 Nikkei 0.7 56.5 8,455 Hang Seng 0.2 36.5 18,434 Straits Times (1.0) (26.4) 2,646 Shanghai Com 1.2 25.9 2,199 Indian ADRs Chg (%) (Pts) (Close) Infosys 0.1 0.1 $51.4 Wipro 0.8 0.1 $10.2 ICICI Bank 0.7 0.2 $26.4 HDFC Bank 1.6 0.4 $26.3 Advances / Declines BSE NSE Advances 1,327 70 Declines 1,451 750 Unchanged 134 80 Volumes ( ` cr) BSE 1,491 NSE 6,685
